What are Merit-based Education Loans?

Posted In education loan On May 11, 2020
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The primary objective of an education loan is to offer financial assistance to students looking to pursue higher education. With the increasing cost of college education, it has become very difficult for students to pursue a college education. Most of the traditional education loan programs are known for their rigorous credit assessment which makes it very hard for students with low family income or low credit scores to get access to an education loan. Most financial institutions assess a loan application on the basis of creditworthiness, which makes it hard for students to get sanctioned because they usually don’t have a decent credit history.

Thus, it begs for a new type of education loan program that understands their profile and potential so as to lend on their future earning potential rather than their credit history.

Merit-based education loans are loan programs where the funds are given out on account of an applicant’s merit rather than his/her credit history. The loan can be availed digitally, without any documentation, and is solely given on the basis of the student’s merit indicating a high future earning potential.

Credenc provides education loans to students based on nothing but their future earning potential by underwriting their employability, rather than the means available to their families.

You see, unlike other traditional lenders, Credenc believes in a student’s future earning potential rather than your credit history to assess a loan application.


Here’s what you should know:

Who is eligible for the Merit-based loan program?

How does extending loans based on merit works?

For which courses is this loan program applicable?

Is merit-based loan right for you?

How to apply for a merit-based education loan?

What are the benefits of taking a merit-based education loan from Credenc?


Who is eligible for the Merit-based loan program?

To qualify for a merit-based education loan a student must demonstrate his academic excellence and merit through an assessment. The loan is approved based on your performance in the Credenc Employability Test.


How does extending loans based on merit works?
We examine your potential via our Employment Predictability Model which is an AI-based algorithm that takes into account 15 million data points. This assessment is designed to test your soft and hard skills so as to assess your employability which will help us to decide if your profile is fit for a Credenc student loan. 

                      Take CET    >      Prediction Analysis       >     Get Sanction            
  
Take a Credenc Employability Test that evaluates your aptitude, skills & personality.

The test results are then fed into our A.I. driven grading system to predict the future income of the students.

Then we sanction the loan on the basis of your future employability score.


For which courses is this loan program applicable?

PGDM / MBA / Masters in Data Science / Data Analytics / Masters in Statistics and similar courses.

Is merit-based loan right for you?

Students who wish to pursue higher education & require financial assistance can apply for the loan program. The loan program overlooks your family income and credit score and extends funds solely on the basis of the applicant’s merit. Students who don’t want to bother their parents for finance can seek a merit-based loan program for their higher education.

How to apply for a merit-based education loan?

You can apply for a merit-based loan education loan in just 3 easy steps -

1. Fill out an online form and upload the few documents.
2. Take a 20 minutes online assessment which will help us understand your strengths better.
3. Get the best loan for your dream college.

What are the benefits of taking a merit-based education loan from Credenc?

We sanction loans on your potential to earn in the future. We do not base our decision on your parents’ financials. 
We sanction your loan even before you get admission. This gives you time to explore your options carefully and not make hasty decisions under pressure. 
We ensure hassle-free processing. Everything is digital & can be done on the go! 
We give you a lot more than just a loan. We offer career counseling, interview prep & other services for free! 

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